Automotive Mechanical Oil Pump Market Size & Share Analysis - Trends, Drivers, Competitive Landscape, and Forecasts (2024 - 2030)

Automotive Mechanical Oil Pump Market Trends & Growth Drivers

Demand for Better Fuel Efficiency Is Strongest Trend

• A higher fuel efficiency can reduce the running cost, as well as decreasing the maintenance costs, by enhancing the engine life. The growing sale of fuel-efficient automobiles, rising cost of fuel, and strict emission regulations are the biggest contemporary trends in the global automotive industry. Due to this, many countries are supporting the installation of oil pumps that enhance the overall life of the vehicle.
• In every automotive engine, the automatic oil pump helps start and stop the car, while the oil pressure is maintained by pistons, as well as lubricating its different parts. These two operations increase the car's fuel economy.
• Nowadays, hybrid electric vehicle (HEV) adoption is rapidly growing. Additionally, this creates good opportunities for advancement and inventions in automotive mechanical oil pumping production in the future.

Expansion of Vehicle Production Volumes Is Key Driver

• The rise in ICE and hybrid electric vehicle production is the key driver for the automotive mechanical oil pump market as these components are one of the important components of the lubrication system. As the demand for vehicles increases, the procurement of mechanical oil pumps by OEMs rises to be installed during the manufacturing process.
• The expansion of production facilities, growth in replacement demand, and localization of production are the key propellers of market growth.
• As per the National Automobile Dealers Association, sales of light vehicles in the U.S. increased by 12.4% from 2022, to 15.46 million units in 2023. Sales in December exceeded forecasts, with a SAAR of 15.8 million units, up 16% from the previous year and 3.2% from November 2023.

Increasing Vehicle Electrification Is Biggest Challenge for Oil Pump Market

• Nowadays, the growing adoption of electric vehicles poses a major challenge for the automotive mechanical oil pump market. Unlike ICE vehicles, EVs do not rely on anything for cooling and lubricating the components of the engine.
• Alarmed at the sorry state of the environment, governments around the world have implemented specific EV sales targets for the coming years, and to reach them, they are offering various kinds of incentives.
• The International Energy Agency (IEA) mentions 14 million EV registrations around the world in 2023, adding that EV sales that year were 3.5 million units or 35% more than in 2022.

Automotive Mechanical Oil Pump Market Analysis

Lubrication System Insights

• The wet sump category holds the larger market share, of 65%, in 2024. These variants are commonly used in smaller engines, which have minimal need for lubrication and lower power consumption.
• These variants are used in most automotive engines due to their simplicity, cost-effectiveness low weight, and less maintenance requirement.

The following lubrication systems are included in the report:

• Wet Sump (Larger and Faster-Growing Category)
• Dry Sump

Vehicle Type Insights

• The passenger vehicles category accounts for the largest share, of 40%, in 2024.
• In comparison to other vehicle types, passenger vehicles are produced in larger numbers, to meet the ballooning demand for personal mobility around the world.

Vehicle types covered in the report are:

• Passenger Vehicles (Largest and Fastest-Growing Category)
• Light Commercial Vehicles
• Heavy Commercial Vehicles
• Off-Road Vehicles

Propulsion Insights

• The gasoline category will dominate the market in 2024 with around 50% share. Gasoline engines require less-frequent servicing compared to those that burn diesel, and they are cost-effective. Additionally, these engines are heavily dependent on the mechanical oil pump for lubrication and cooling.
• Hybrid is expected to be the faster-growing category, with a CAGR of 3.7%, during 2024–2030. With the environmental concerns and government regulations against pure-ICE vehicles, EV sales are rising. However, battery electric vehicles are expensive, and the charging infrastructure is not as expansive and reliable as required.
• Both these factors push the sale of HEVs/PHEVs, which combine the benefits of both ICEs and BEVs, including a longer driving range and lower emissions.

The propulsions covered in the report are:

• Diesel
• Gasoline (Largest Category)
• Hybrid (Fastest-Growing Category)

Discharge Type Insights

• The vane category is expected to witness the highest CAGR, of 2.6%, during 2024– 2030.
• The vane pump is also known as the surface tension pump due to its positioning on a rotor, which is normally used to enhance the velocity of the fluid.
• In comparison to gear pumps, vane pumps are capable of managing less-viscous fluids at high pressures, despite running for short periods.

The discharged types covered in the report are:

• Gear
• Gerotor
• Vane (Largest and Fastest-Growing Category)
• Others

Sales Channel Insights

• OEMs hold the bigger share, of 70%, in 2024. This growth is driven by the increasing demand for mechanical oil pumps by OEMs to be integrated into vehicles during the manufacturing process.
• OEMs are expected to provide better parts compared to the aftermarket as they are household names among customers.
• Further, the stringent emission regulations necessitate efficient lubrication for reduced fuel consumption, which forces OEMs to procure advanced mechanical pumps from their automotive component partners.

The sales channels covered in the report are:

• OEMs (Larger and Faster-Growing Segment)
• Aftermarket

Geographical Analysis

• In 2024, APAC holds the largest revenue share, of 45%, and it is expected to develop at the highest CAGR, of 2.7%, from 2024 to 2030.
• The growth of the automotive sector in the regional developing countries propels the demand for reliable and efficient mechanical oil pumps. Several countries in APAC have implemented strict emission regulations to improve the quality of the air and resolve environmental problems.
• For achieving these goals, the mechanical oil pump is used, as it helps reduce friction, increase overall efficiency, and optimize engine lubrication.
• In India, the automotive industry produced a total of 25.93 million vehicles, including three-wheelers, two-wheelers, passenger vehicles, commercial vehicles, and quadricycles in FY2023, which contributed 8% of the country’s exports and 7.1% of India’s GDP.

The regions and countries analyzed in this report include:

• North America
  • U.S. (Larger and Faster-Growing Country Market)
  • Canada
• Europe
  • Germany (Largest Country Market)
  • U.K. (Fastest-Growing Country Market)
  • France
  • Italy
  • Spain
  • Rest of Europe
• Asia-Pacific (APAC) (Largest and Fastest-Growing Regional Market)
  • China (Largest Market)
  • Japan
  • India (Fastest-Growing Country Market)
  • South Korea
  • Australia
  • Rest of APAC
• Latin America (LATAM)
  • Brazil (Largest and Fastest-Growing Country Market)
  • Mexico
  • Rest of LATAM
• Middle East and Africa (MEA)
  • Saudi Arabia (Largest Country Market)
  • South Africa
  • U.A.E. (Fastest-Growing Country Market)
  • Rest of MEA

Automotive Mechanical Oil Pump Market Share

Market Concentration – Fragmented

The automotive mechanical oil pump market is fragmented due to the presence of a large number of local, regional, and multinational companies. This is itself because the mechanical oil pump has been in existence for a long time, and its technology is mature; therefore, accessible to smaller companies as well.

Automotive Mechanical Oil Pump Market News

• In April 2024, Renault Group collaborated with Volvo Group and CMA CGM Group to launch Flexis SAS. This new company, based in France, aims to address the rising demand for decarbonizing and efficient urban logistics. In the last three years, Renault Group and Volvo Group have invested almost EUR 300 million in this project.
• In December 2022, AISIN Group announced that several of its auto components have been chosen for the New LEXUS RX.